The Australian Securities & Investments Commission (ASIC) issued a limited no-action position addressing an industry-raised issue where a client’s written consent for deduction of ongoing advice fees under an ongoing fee arrangement (OFA) did not include an account number. The regulator also reminded financial advisers and superannuation trustees to ensure they comply with client consent requirements when entering into OFAs. ASIC does not intend to take action for breaches of section 962S of the Corporations Act 2001 and section 99FA of the Superannuation Industry (Supervision) Act 1993 where a client gave written consent between 10 January 2025 and 5 September 2025, the consent omitted the account number, and a superannuation trustee deducted advice fees from the relevant member’s account as set out in the consent. Reliance on the no-action position does not prevent an OFA terminating under section 962WA if the consent was non-compliant; to rely on the position, the fee recipient must enter into a new OFA and obtain new written consent (including to cover the period where fees were deducted under the non-compliant consent), with the revised OFA complying with section 962T. If this is not in place by 5 September 2025, the fee recipient must take steps to stop receiving fees; trustees are expected to review oversight processes, and the position does not prevent third parties taking legal action. The no-action position is issued under Regulatory Guide 108 (No-action letters) as an expression of regulatory intent, not a legal opinion, and is specific to the stated facts and circumstances.

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